Financial statistics of consolidated general
government for the fiscal year 2014/2015
Dr Pali Lehohla
24 November 2016
@StatsSA
#StatsSA
Table of contents
a. Background and technical issues
b. Economic and functional classification
c.
Receipts
d. Payments
e. Capex
f.
Closing remarks
2
What is this publication about?
 Each level/sphere: has separate publications. These show what happens at
that level (national, provincial, extra-budgetary accounts, municipalities, HEI).
 This publication eliminates double-counting between general government
institutions (mainly transfers).
 It provides a consolidated picture of general government finances for a fiscal
year (in this case: 1 April 2014 – 31 March 2015).
 It provides a clearer picture of the state of finances in the form of a cash flow
statement of all levels of general government.
 Users of the data can see the net economic and functional impact of
government spending on the economy.
3
Reporting units for different types of general government institutions
Consolidated general
government
National government
(43)
Provincial government
Cash basis of
accounting
(124)
Extra-budgetary accounts and
funds (232)
Higher education institutions
(26)*
Local government (non-trading
services) (278)*
* HEI & LGI: adjusted for the fiscal year ended 31 March 2015
4
Accrual basis
of accounting
Converted to
cash basis for
consolidated
general
government
Contribution of different levels of general government to the total
consolidated cash payments: 2013/2014 and 2014/2015
2013/2014
2014/2015
5
General government receipts and payments 2014/2015
6
Economic classification
7
Economic classification is in general the nature and economic effect
of government operations on the
economy of a country.
Some categories of economic classification:
•
•
•
•
•
•
•
•
•
Taxes
Social contributions
Compensation of employees
Purchases of goods and services
Interest
Subsidies
Grants
Social benefits
Other payments*
* Other payments include: transfers to households and
NPISH (Non-Profit Institutions Serving Households)
8
Receipts
9
Contributors to cash receipts: 2013/2014 and 2014/2015 (Rm)
1200 000
10%
Cash receipts increased by
1000 000
R107 billion
from
R million
800 000
R1 117 billion
in 2013/2014 to
600 000
R1 224 billion
400 000
in 2014/2015
10%
200 000
3%
0
2013/2014
2014/2015
Taxes
966 872
1 060 957
Other receipts
126 380
138 523
Social contribution
21 939
22 467
* Other receipts mainly includes sales of goods and services, property income
10
15%
Grants
1 949
2 239
Revenue by type of general government institution:
2013/2014 and 2014/2015 (Rm)
1200 000
9%
1000 000
National government
collected
R million
800 000
83%
of the total revenue of
600 000
R1 224 billion
400 000
4%
200 000
0
20%
10%
16%
National
government
Extra-budgetary
accounts and funds
Local government
Higher education
institutions
Provincial
government
2013/2014
928 102
91 066
52 998
30 656
14 318
2014/2015
1 015 549
94 848
63 557
33 639
16 593
11
Taxes collected by general government during 2013/2014 and
2014/2015 (Rm)
400 000
Taxes increased by
14%
R94 billion from
R967 billion in 2013/2014 to
R1 061 billion
350 000
300 000
10%
R million
250 000
6%
in 2014/2015
200 000
5%
150 000
11%
100 000
50 000
0
2013/2014
2014/2015
Taxes paid by
individuals
310 929
353 918
Value added tax
237 684
261 312
Taxes paid by
businesses
196 830
207 872
All other taxes*
Excise tax
126 254
131 952
95 175
105 903
* All other taxes mainly includes taxes on property, taxes on international trade and transactions
12
Types of taxes collected by general government:
2010/2011 -2014/2015 (Rm)
400 000
350 000
300 000
R million
250 000
200 000
150 000
100 000
50 000
0
2010/2011
2011/2012
2012/2013
2013/2014
2014/2015
Taxes paid by
individuals
228 096
251 339
276 679
310 929
353 918
Value added tax
183 574
191 020
215 034
237 684
261 312
Taxes paid by
businesses
151 845
175 245
180 635
196 830
207 872
13
All other taxes
Excise tax
84 796
98 182
110 415
126 254
131 952
73 549
80 543
89 300
95 175
105 903
Payments
14
Economic classification of cash payments for operating activities for
2013/2014 and 2014/2015
600 000
9%
500 000
R Million
400 000
5%
300 000
200 000
7%
14%
13%
100 000
3%
0
Compensation
of employees
2013/2014
2014/2015
473 932
514 580
Purchases of
goods and
services
296 394
311 792
17%
Interest
Subsidies
Grants
Social benefits
Other
payments
107 006
122 013
25 515
24 873
45 596
53 405
149 649
159 588
77 625
87 869
15
Contribution by different type of general government institution to the
total consolidated cash payments: 2010/2011 – 2014/2015 (Rm)
600 000
500 000
R million
400 000
300 000
200 000
100 000
0
2010/2011
2011/2012
2012/2013
2013/2014
2014/2015
National
government
353 794
402 417
456 033
498 402
548 890
Provincial
government
322 588
359 083
384 702
412 907
441 407
Local government
109 256
143 415
162 924
167 717
190 423
16
Extra-budgetary
accounts and funds
99 731
110 884
132 487
157 950
162 920
Higher education
institutions
39 557
43 320
47 699
52 486
56 971
Compensation of employees by type of general government institutions:
2013/2014 and 2014/2015
300 000
7%
Compensation of employees
increased by
250 000
R41 billion
from
200 000
R million
R474 billion
in 2013/2014 to
150 000
R515 billion
7%
in 2014/2015
100 000
18%
50 000
0
2013/2014
2014/2015
Provincial
government
National
government
Local
government
254 659
272 750
114 994
123 408
42 666
50 386
17
11%
Extra-budgetary
accounts and
funds
35 539
39 525
9%
Higher education
institutions
26 074
28 511
Social benefits by type of general government institutions:
2013/2014 and 2014/2015 (Rm)
140 000
9%
120 000
R million
100 000
80 000
60 000
4%
40 000
20 000
38%
0
National government
2013/2014
2014/2015
115 429
126 150
Extra-budgetary accounts and
funds
32 621
31 237
18
Provincial government
1 598
2 200
Irregular, Fruitless & Wasteful, Unauthorised expenditure
Year
2010/2011 2011/2012 2012/2013
Expenditure type
2013/2014
2014/2015 2015/2016
R million
Irregular expenditure
19 159
26 576
27 531
33 315
26 023
46 363
Fruitless and wasteful
1 300
1 494
2 426
1 197
1 041
1 366
Unauthorised
2 641
1 952
2 284
1 875
1 248
925
23 100
30 022
32 241
36 387
28 312
48 654
Total
Source: www.agsa.co.za: Media release, 16 November 2016; PFMA 2015/2016 Consolidated general
reports, 2012/2013, 2014/2015 and 2015/2016
19
Beneficiaries of Social grant* per type: 2006/2007 – 2014/2015
Total number of beneficiaries for social protection only
18 000
15 596
16 000
16 106
16 643
15 932
14 936
14 057
14 000
In Thousands
12 016
12 422
13 072
12 000
10 000
8 000
6 000
4 000
2 000
0
2006/2007 2007/2008 2008/2009 2009/2010 2010/2011 2011/2012 2012/2013 2013/2014 2014/2015
Source: Dept of Social Development (SASSA)
* Only that paid by Dept of Social Development (SASSA)
20
Beneficiaries of Social grant per type: 2006/2007 – 2014/2015
14 000
12 000
In Thousands
10 000
8 000
6 000
4 000
2 000
0
Child Support
2006/2007
2007/2008
Old Age*
2008/2009
Disability
2009/2010
Foster Child
2010/2011
2011/2012
* Old Age grant include grant to war veterans
Grant in Aid
2012/2013
2013/2014
Care Dependency
2014/2015
Source: Dept of Social Development (SASSA)
21
Indigent household
•
These are poor households as determined by municipalities.
•
The basis on which a municipality determines if a household
is indigent (and the criteria used for such determination) can
vary.
•
Not necessarily consistent across municipalities, even in
same province.
22
Indigent households in each province and services they receive: 2015
WC
Benefitting
Identified
EC
NC
FS
KZN
NW
165 333
735 041
172 322
133 874
599 696
GP
MP
LP
689 859
126 405
401 765
114 373
292 991
121 952
183 693
360 238
843 181
359 334
543 739
356 521
329 900
68 527
133 685
231 679
153 162
689 018
121 112
158 289
354 145
541 507
64 524
133 958
413 690
87 162
300 351
90 655
108 843
353 424
223 940
133 947
648 403
360 154
90 827
94 082
76 458
70 302
64 327
88 713
3,6 million indigent households
23
24
Animated slide showing poverty movements between 2001 and 2016
25
Social Grant and Self Declared Hunger
The percentage of households that were vulnerable to hunger declined
from 23,8% in 2002 to 11,3% in 2015, including a spell during which
the percentage increased to 16% in 2008 before continuing its decline.
Percentage of
persons who have
benefited from social
grants; 30,1%
35%
30%
25%
20%
15%
10%
Vulnerability to hunger:
Persons; 13,1%
5%
0%
2003
2004
2005
2006
2007
2008
2009
2010
Percentage of persons who have benefited from social grants
* GHS 2009 did not ask about experienced hunger
2011
2012
2013
2014
2015
Vulnerability to hunger: Persons
Data source: Stats SA GHS 2015
26
Percentage of individuals and households benefitting from Social grants
per province, 2015
70%
More than one-third of individuals in Eastern
Cape (40,3%), Limpopo (38,2%), Northern Cape
(36,9%) and KwaZulu-Natal (36,8%) were grant
beneficiaries,
Persons
Households
60%
50%
40%
30%
20%
10%
0%
NC
EC
LP
KZN
FS
MP
NW
RSA
WC
GP
Data source: Stats SA GHS 2015
27
Percentage distribution of main source of income by province, GHS 2015
Considerable provincial variations are notable. Western Cape (70,4%) and Gauteng (70,0%) were
the only two provinces in which more than two-thirds of households reported salaries as their main
sources of income.
42%
43%
49%
54%
54%
54%
55%
EC
LP
NC
FS
KZN
NW
MP
38%
33%
32%
24%
28%
25%
23%
70%
70%
GP
WC
0,0
10,0
Salaries
20,0
30,0
Remittances
10%
12%
40,0
50,0
60,0
Pensions
Grants
70,0
80,0
90,0
Other sources
100,0
None
Data source: Stats SA CS2016
28
Poverty drivers
CS 2016
29
Main contributors to poverty amongst Youth (15-24)
Educational attainment
35,5
Adult unemployment
16,4
NEET
14,6
General health and functioning
8,0
Sanitation
5,1
Energy for heating
4,7
Water
3,9
Energy for cooking
3,6
Assets
3,2
Dwelling type
Energy for lighting
The major contributor to the poverty
situation of the youth in South Africa is
educational attainment.
2,9
2,3
0,0
5,0
10,0
15,0
20,0
30
25,0
30,0
35,0
40,0
%
Graduates for 2015
Source: Department of Higher Education. Preliminary results
31
Donations received by for Stellenbosch University in 2015
Clarification on donations received during 2015
Stats SA, in their PPT to the media and other stakeholders, reported that Stellenbosch had
received R1,125 billion in their annual report during 2015 (donations and other receipts).
Stats SA has since been informed that the Stellenbosch University received donations
totalling R220 million for 2015.
Users are advised to use the R220 million as donations received by Stellenbosch.
The statistical release (P9103.1, published on 25 October 2016) is correct. Donations and
other amounts are treated as “other receipts” and is not shown separately in P9103.1.
Stellenbosch University: Other receipts for 2015
Private donations
R 220 million
Other receipts not specified (e.g. contracts)
R 905 million
32
Capital expenditure
33
Capital expenditure by type of general government institutions:
2013/2014 and 2014/2015 (Rm)
70 000
60 000
15%
General government spent
R126 billion on capex in
50 000
2014/2015 as compared to
R million
R114 billion
in 2013/2014
40 000
6%
30 000
20 000
14%
5%
10 000
14%
0
Local government
2013/2014
2014/2015
49 590
57 178
Provincial
government
30 790
32 527
National
government
14 123
16 119
34
Extra-budgetary
accounts and funds
13 815
14 473
Higher education
institutions
5 428
6 194
Local government capital expenditure by asset type : 2015 (Rm)
Other structures
Other machinery
and equipment
Non-residential
buildings
©
82 %
47 258
6%
3 421
4%
2 578
Transport
equipment
3%
1 524
Land
2%
936
Intangible
assets
Computer
equipment
1%
553
35
1%
336
Dwellings
1%
308
Furniture
0%
228
Heritage
assets
0%
24
Cultivated
assets
0%
13
Households with access to improved sanitation facilities by province
Western Cape
Northern Cape
KwaZulu-Natal
Gauteng
Limpopo
Eastern Cape
Free State
North West
Mpumalanga
South Africa
The majority of households in the
Western Cape (93,3%) and
Gauteng (91%) had access to
improved sanitation facilities
93,3%
100
90
91,0%
80
70
65,8%
60
53,8%
50
40
About half those in Limpopo (54%) and just
below two-thirds of those in Mpumalanga
(65,8%) had access to improved sanitation
facilities.
30
20
10
0
2002
2003
2004
2005
2006
2007
2008
2009
36
2010
2011
2012
2013
2014
2015
Provincial government capital expenditure by asset type : 2015 (Rm)
Other structures
41 %
13 403
Intangible
assets
1%
185
Non-residential
buildings
41 %
13 242
Furniture
0%
137
Other machinery
and equipment
7%
2 122
Land
0%
131
Transport
equipment
5%
1 709
Cultivated
assets
0%
8
Computer
equipment
3%
858
Valuables
0%
6
Dwellings
2%
725
Books
0%
1
37
©
Functional classification
38
Percentage by general government expenditure by function: 2014/2015
Environmental
protection
1%
Recreation,
culture and
religion
3%
General
public
services
Education
26%
19%
Social
protection
Total general
government
13%
R1 401 billion
Defence
Health
3%
11%
Housing and
community
amenities
Economic
affairs
Public
order and
safety
5%
9%
10%
39
Main functions of general government: 2010/2011 - 2014/2015
400 000
350 000
300 000
R million
250 000
200 000
150 000
100 000
50 000
0
2010/2011
2011/2012
2012/2013
2013/2014
2014/2015
General public services
190 482
236 038
286 498
308 665
365 419
Education
186 145
211 185
229 426
249 187
265 792
Social protection
131 283
140 903
153 046
170 422
182 821
40
Health
109 205
123 568
136 698
145 910
157 438
Main functions of general government: 2005/2006 - 2014/2015
1 000
900
157
146
800
137
183
700
124
R BILLION
600
153
109
99
500
400
300
58
50
72
200
100
141
82
68
96
136
83
106
151
229
107
157
178
249
211
93
120
266
131
122
144
170
186
169
190
187
236
286
309
365
0
2005/2006 2006/2007 2007/2008 2008/2009 2009/2010 2010/2011 2011/2012 2012/2013 2013/2014 2014/2015
General public services
Education
Social protection
41
Health
Education expenditure by type of general government institutions:
2013/2014 and 2014/2015 (Rm)
200 000
6%
180 000
160 000
140 000
R million
120 000
100 000
R3,6b
9%
80 000
60 000
40 000
20 000
9%
0
Provincial government
2013/2014
2014/2015
180 668
190 858
Higher education
institutions
52 486
56 971
Extra-budgetary
accounts and funds
8 402
9 154
42
15%
National government
7 631
8 808
Social protection by type of general government institutions:
2013/2014 and 2014/2015 (Rm)
140 000
9%
120 000
100 000
R million
80 000
60 000
R3,6b
40 000
11%
20 000
0
National government
2013/2014
2014/2015
114 088
124 890
Extra-budgetary accounts and
funds
42 469
42 489
43
Provincial government
13 864
15 442
Health by type of general government institutions:
2013/2014 and 2014/2015 (Rm)
160 000
140 000
8%
120 000
R million
100 000
80 000
60 000
40 000
20 000
18%
1%
0
2013/2014
2014/2015
Provincial government
National government
Local government
125 693
135 714
6 417
7 602
7 452
7 558
44
3%
Extra-budgetary
accounts and funds
6 348
6 565
Cross classification
45
Compensation of employees by functions of general government:
2014/2015 (Rm)
Education
180 590
Health
95 326
Public order and safety
91 921
General public services
59 369
Economic affairs
24 377
Defence
24 102
Social protection
12 209
Recreation, culture and religion
11 967
Housing and community amenities
Enviromental affairs
General government spent
R515 billion
on compensation of
employees in 2014/2015
10 581
4 137
46
Purchases of goods and services by functions of general government:
2014/2015 (Rm)
General public services
89 878
Education
52 793
Health
47 432
Economic affairs
34 227
Public order and safety
32 462
Housing and community amenities
15 964
Defence
15 960
Recreation, culture and religion
Social protection
Enviromental affairs
General government spent
R312 billion
11 066
on purchases of goods
and services in
2014/2015
8 318
3 693
47
Closing remarks on consolidated general government finances: 2014/15
1.
Cash receipts amounted to R 1,2 trillion
2.
Taxes collected contributed about 87% to total revenue
3.
R266 billion spent on education
4.
Social benefits: R126 billion paid by Social Development (SASSA) to 16,7
million beneficiaries
5.
Salaries comprise about 40% of total current expenditure
6.
Capital expenditure amounted to R126 billion
7.
This publication only reports on the cash transactions of general government
institutions, obtained/adjusted from their financial statements.
Information on general government disaggregated tables is available on the Stats SA website: http://www.statssa.gov.za
48
Thank you
49